One State Solution for Palestine/Israel

I have long supported the “two state solution” for the Levant envisioned by the Oslo Accords. I led IMF technical assistance teams that launched the Palestine Monetary Authority as called for in the Oslo Accords. “Oslo-the Play”   After listening to the following presentation by two very knowledgeable Jews, I have changed my mind: Max Blumenthal & Miko Peled 

In supporting a Two State Solution I had assumed that the alternative One State Solution had to be a democratic Jewish state as sought by Zionists, which would have required that Israel eliminate, one way or another, enough Palestinians to establish and retain a large Jewish majority. This is, of course, exactly the policy Israel had followed since its founding and most conspicuously in its current devastating attack on Palestinians in Gaza.  “A one state solution”

Miko Peled, the son of a distinguished Israeli general, proposes a One State Solution in which Israel’s Jews give up its being a Jewish State. Rather Israel, from the River to the Sea, would be a democratic state in which all residence would enjoy equal treatment under the law. But can Zionists be convinced to support a secular Israel of Jews and Palestinian, both the descendance of Abraham. In a recent meeting of the Committee for the Republic, Rabbi Yaakov Shapiroargued that Zionism is antisemitic and should be repudiated:  “Antizionism is not Antisemitic”

In a realistic assessment of the current situation, Natan Sachs argues that neither a one state nor two state solution is possible any time soon because of the lack of trust on both sides after 70 years of oppressive Israeli occupation of Palestinian lands and the vicious attack on Israel by Hamas on Oct 7. However, he argues that continuing to kick the can down the road has been a disaster and must end. The U.S., now providing the bombs with which Israel is slaughtering innocent Palestinian men, women, and children, must order an immediate ceasefire before millions in Gaza starve to death and the war escalates to Lebanon and beyond.  “UN Human Rights Experts warm of unfolding Genocide in Gaza”

The U.S. must also use it considerable leverage to end new Israeli settlements in the West Bank and Settler (and Israeli Army) abuse of Palestinians living there and strengthen the Palestinian Authority. Since WWII the U.S. has given Israel more than $260 billion in foreign assistance (over $3.3 billion annually in recent years), more than to any other country.

“It is time, rather, to couple a political horizon with serious, transformative, solution-oriented yet hard-nosed conflict management: imperfect, messy, halting, unsatisfactory for all, and yet preferable by far to the current reality…. The United States must set the ground rules for the long interim period before true conflict resolution might be possible and enforce these rules vigorously…. Even if a solution to the conflict is currently unavailable, aimlessly kicking the can down the road is not a reasonable strategy. That approach was not conflict management; it was a strategy that allowed the conflict to manage both sides.”  “Peace between Israelis and Palestinian remains possible”

In my view a single state with full citizenship with equal rights for all inhabitance would be the best long run outcome but it will not be easy and will take time for interim Israeli occupation to build mutual confidence for drafting and adopting such a constitution (like England, Israel does not have a written constitution). Jerusalem, Bethlehem, and other parts of greater Israel housing important Jewish, Islamic and Christian sites must be fully protected by religious liberty provisions of the constitution.  While such an outcome will take many years to achieve, interim measures must build to that outcome.

Author: Warren Coats

I specialize in advising central banks on monetary policy and the development of the capacity to formulate and implement monetary policy.  I joined the International Monetary Fund in 1975 from which I retired in 2003 as Assistant Director of the Monetary and Financial Systems Department. While at the IMF I led or participated in missions to the central banks of over twenty countries (including Afghanistan, Bosnia, Croatia, Egypt, Iraq, Israel, Kazakhstan, Kenya, Kosovo, Kyrgystan, Moldova, Serbia, Turkey, West Bank and Gaza Strip, and Zimbabwe) and was seconded as a visiting economist to the Board of Governors of the Federal Reserve System (1979-80), and to the World Bank's World Development Report team in 1989.  After retirement from the IMF I was a member of the Board of the Cayman Islands Monetary Authority from 2003-10 and of the editorial board of the Cayman Financial Review from 2010-2017.  Prior to joining the IMF I was Assistant Prof of Economics at UVa from 1970-75.  I am currently a fellow of Johns Hopkins Krieger School of Arts and Sciences, Institute for Applied Economics, Global Health, and the Study of Business Enterprise.  In March 2019 Central Banking Journal awarded me for my “Outstanding Contribution for Capacity Building.”  My recent books are One Currency for Bosnia: Creating the Central Bank of Bosnia and Herzegovina; My Travels in the Former Soviet Union; My Travels to Afghanistan; My Travels to Jerusalem; and My Travels to Baghdad. I have a BA in Economics from the UC Berkeley and a PhD in Economics from the University of Chicago. My dissertation committee was chaired by Milton Friedman and included Robert J. Gordon. I live in National Landing Va 22202

3 thoughts on “One State Solution for Palestine/Israel”

  1. Thanks for this Warren. I wish it were realistic, but in the current environment the wish is farther than the desire. The Iraeli government has taken the 2 state solution off the table and that was the compromise position since 1948. I fear we are in for a generation of war and destruction.
    Edward

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